Professional Office Condo with Three
For Sale
$425,000
3805 Valley Commons Dr Unit 12, Bozeman, MT 59718
Second-floor suite combines private offices with a reception area and adaptable kitchen/breakroom space.
Property Size1,044 SF
Price / SF$407.09
Days on Market20
Property Features for 3805 Valley Commons Dr Unit 12
General Information
Standard status
Active
Size
1,044 SF
Elevators
Yes
Property subtype
Commercial
Additional Details
Floor
2
Amenities
shared restrooms and common areas
professional on-site maintenance
Building Details
Year Built
2006
Listing Agency:
McKenna Adams Commercial
(406) 544-9004
Listed By:
Marley McKenna · License #RRERBS71811
Source:
Bozemanbigskyproperties
Added: Aug 11
Changed: Aug 29
Last Checked: Aug 29 at 10:55PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of McKenna Adams Commercial
Investment Insights
Based on property information with market context.
This 1,044 SF office condo occupies the second floor at 3805 Valley Commons Dr Unit 12 in Bozeman. The layout includes three private offices, each with an exterior window and Bridger Mountain views, along with a reception area that can serve as a waiting area or small conference room. A large kitchen/breakroom provides additional space for desks or workstations and has been freshly repainted.
Built in 2006, the building provides elevator access to the second floor, shared restrooms, common areas, and professional on-site maintenance. The suite offers a defined office configuration for an owner-occupant and is also identified as an investment option in the property information.
Built in 2006, the building provides elevator access to the second floor, shared restrooms, common areas, and professional on-site maintenance. The suite offers a defined office configuration for an owner-occupant and is also identified as an investment option in the property information.
Key Highlights
- 1,044 SF second‑floor office condo
- Three private offices, each with an exterior window
- Bridger Mountain views from the office spaces
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$15,358
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.61%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$307,160
$307.2K
Cap Rate 7%
$219,400
$219.4K
Cap Rate 9%
$170,644
$170.6K
Market Conditions
NOI Build-Up for 1,044 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$21.9K $21.00/SF
− Vacancy
−$1.4K −$1.39/SF
EGI
$20.5K $19.61/SF
− OpEx
−$5.1K −$4.90/SF
NOI
$15.4K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$307,160
Cap Rate 7%
$219,400
Cap Rate 9%
$170,644
Alternative Uses
Best Use
Office B
$219.4K
$192.0K – $256.0K
NOI $15,358 @ 7.0% cap · market cap 3.61%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$272.6K
$238.5K – $318.1K
NOI $19,083 @ 7.0% cap · market cap 4.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
600
Businesses Nearby
Explore this area
Business Placement
Demographics for 59718, MT
43,831
Population
19,765
Households
2.2
Avg Household Size
33
Median Age
57%
College-Educated
97%
High-School Grad
164.5 sq mi
ZIP Area
266
Density / Sq Mi
$91,852
Median Household Income
$44,915
Median Earnings
$1,748
Median Rent
$579,800
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Second-floor suite combines private offices with a reception area and adaptable kitchen/breakroom space.
Where is this office units located?
The property is located at 3805 Valley Commons Dr Unit 12 Bozeman, MT.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: 1,044 SF second‑floor office condo; Three private offices, each with an exterior window; Bridger Mountain views from the office spaces
